Roundstone Development, LLC v. City of Natchez

105 So. 3d 342, 2011 WL 5547805, 2011 Miss. App. LEXIS 704
CourtCourt of Appeals of Mississippi
DecidedNovember 15, 2011
DocketNo. 2010-CA-00274-COA
StatusPublished
Cited by8 cases

This text of 105 So. 3d 342 (Roundstone Development, LLC v. City of Natchez) is published on Counsel Stack Legal Research, covering Court of Appeals of Mississippi primary law. Counsel Stack provides free access to over 12 million legal documents including statutes, case law, regulations, and constitutions.

Bluebook
Roundstone Development, LLC v. City of Natchez, 105 So. 3d 342, 2011 WL 5547805, 2011 Miss. App. LEXIS 704 (Mich. Ct. App. 2011).

Opinions

GRIFFIS, P.J.,

for the Court:

¶ 1. This case concerns a zoning dispute. Roundstone Development, LLC applied to re-zone a parcel of real property in Natchez, Mississippi, from O-L (open land) to R-l (single-family residential) to develop a residential subdivision on the property. The Natchez mayor and Board of Aider-men (“Board”) denied Roundstone’s request to re-zone the property. On appeal, the Adams County Circuit Court affirmed the decision of the City of Natchez (“City”). On appeal to this Court, Round-stone argues that: (1) the City improperly required the property be re-zoned as a prerequisite for the development to go forward; (2) the City’s denial of the request to re-zone the property was arbitrary and capricious, discriminatory, illegal, and unsupported by substantial evidence; (3) the City’s denial of the request to re-zone the property violated the Fair Housing Act; and (4) the circuit court erred when it denied Roundstone’s motions to strike the City’s brief and for a judgment on the pleadings. We find no error and affirm the judgment of the circuit court.

FACTS

¶ 2. Roundstone acquired title to a tract of land in Natchez, Mississippi, with the intent to build a subdivision containing sixty-five homes on the property. The development was to be named the Audubon Terrace Subdivision. The 1,700 square-foot homes were to have three bedrooms and two bathrooms. The subdivision was [344]*344to include a swimming pool, business center, fitness center, and community center.

¶ 3. The development was to be subsidized by a federal tax-credit program administered by the Mississippi Home Corporation. In return for the tax credit, Roundstone would be required to rent the homes to qualifying applicants for a period of fifteen years. To qualify, an applicant would have to have an income below a certain level. It was estimated that rent would be between $375 and $425 per month. After fifteen years, the renter would have the option to buy the home at a discounted price, estimated at a purchase price of approximately $65,000.

¶4. The record contains three letters from city officials that Roundstone claims it relied on when it decided to purchase the property. Roundstone claims the letters were provided to it and its lenders, but none of the letters were addressed to Roundstone. The record does not show what relationship, if any, Roundstone had with the recipients of the letters.

¶ 5. On February 10, 2006, Andrew L. Smith, Planning Director, wrote a letter to David Strange, with Neighborhood Development Alliance, LLC, as follows:

Re: Zoning Verification
Neighborhood Development Alliance, LLC
Audubon Terrace Subdivision, Phase I Dear Mr. Strange,
The above referenced project is zoned R-l (Single Family) Residential District according to the Official Zoning Map of the City of Natchez. The use of the property as single-family development is a permitted use under the sites R-l zoning classification.
Any new construction must be in accordance with the respective subdivision regulations and building codes of the City.
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¶ 6. On December 21, 2006, Dennis E. Story, Director of Planning and Zoning, wrote a letter to Strange that tracks verbatim the February 10th letter.

¶ 7. On May 16, 2007, Walter Huston, Land Use Planner, wrote a letter to Mr. Phillips1, with the SunAmerica Housing Fund, LP, which states:

Re: Audubon Terrace, Natchez, Mississippi (“the Project”)
Please be advised that: (i) the Project is zoned R-l (Single-Family Residential District) which zoning allows single-family use as a matter of right and is within the city limits of Natchez, Mississippi ... and (iii) there are no violations of zoning law, or non-conforming uses and the Project is in compliance with all applicable zoning and subdivision laws, ordinances and regulations.... Further, there are no other requirements which must be satisfied in order for the Project to fully comply with applicable zoning and subdivision laws, ordinances, regulations^] and parking requirements.
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¶ 8. The letters were incorrect about the zoning status of the land. Approximately nine acres of the land were zoned R-l. The remaining seventeen acres were zoned OL. The City’s ordinance defines O-L zones, stating:

[O-L] districts are composed mainly of unsubdivided lands that are vacant or in agricultural or forestry uses, with some dwellings and some accessory uses. The regulations are designed to protect the essentially open character of the districts by prohibiting the establishment of scattered uses that are unrelated to [345]*345any general plan of development and that might inhibit the best future urban utilization of the land. It is intended that land in these districts will be reclassified to its appropriate residential, commercial, and industrial category in accordance with the amendment procedure set forth herein whenever such land is subdivided into urban building sites.

City of Natchez Zoning Ordinance and Subdivision Regulations § IV(1) (emphasis added). The ordinance defines R-l zones as follows:

These districts are composed mainly of areas containing one-family dwellings and open areas where similar residential development seems likely to occur; few two-family and multiple-family dwellings are found in these areas. The district regulations are designed to protect the residential character of the areas by prohibiting all commercial and industrial activities, to encourage a suitable neighborhood environment for family life by including among the permitted uses such facilities as schools and churches[,] and to preserve the openness of the areas by requiring certain minimum yard and area standards to be met.

City of Natchez Zoning Ordinance and Subdivision Regulations § IV(2). The ordinance provides that “Dwelling, one-family” is a “Use by Right” in both O-L and R-l zones.

¶ 9. Roundstone sought approval for its site plan and subdivision plat from the Natchez Planning Commission (“Commission”). The Commission decided that before it could approve the site plan and subdivision, the O-L area had to be rezoned to R-l. Roundstone then submitted an application to the Commission to rezone the property. The Commission voted to deny the request to re-zone. Round-stone then appealed the Commission’s decision to the Board.

¶ 10. On February 16, 2008, at its regularly scheduled meeting, the Board considered the zoning issue. Roundstone’s attorney presented argument in favor of the request to re-zone. Those same arguments are renewed on appeal, so we will discuss them below. Next, a representative of the Mississippi Home Corporation explained the tax-credit program. Then, concerned citizens were allowed to speak, the majority of whom were opposed to the development. A motion was made to “affirm the ... Commission’s decision and deny the development.” The motion carried unanimously.

¶ 11. Roundstone filed a bill of exceptions with the circuit court. The circuit court affirmed the Board’s decision. Roundstone appealed to the Mississippi Supreme Court, which deflected the appeal to this Court for review.

STANDARD OF REVIEW

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Cite This Page — Counsel Stack

Bluebook (online)
105 So. 3d 342, 2011 WL 5547805, 2011 Miss. App. LEXIS 704, Counsel Stack Legal Research, https://law.counselstack.com/opinion/roundstone-development-llc-v-city-of-natchez-missctapp-2011.